I believe that opensource advancements like R1 will drive wider adoption of ai systems.
I think that the pricing models will change soon. Everyone talks about cost per million tokens to contact a hosted service, but I think it’ll switch to be cloud costs to provide infrastructure that can run models. Virtual machines running something like ollama.
This solves another huge problem, privacy and how prompt data is handled. If you’re using an api to a hosted service you need to have a very good understanding of how your submitted prompt data is handled. This is key for organisations. I feel like the lack of understanding here is preventing widespread adoption, especially for communication tools that handle sensitive data.
For example, you could run Deepseek R1 using ollama on an Azure virtual machine (nc series) that you pay per hour for, and then your cost isn’t based on usage of your ai. Right now it’s expensive to provision the infra to support decent models, but these costs fall continuously.
I can imagine a world where organisations provision cloud infrastructure in their environments running open source models.
I believe that opensource advancements like R1 will drive wider adoption of ai systems.
I think that the pricing models will change soon. Everyone talks about cost per million tokens to contact a hosted service, but I think it’ll switch to be cloud costs to provide infrastructure that can run models. Virtual machines running something like ollama.
This solves another huge problem, privacy and how prompt data is handled. If you’re using an api to a hosted service you need to have a very good understanding of how your submitted prompt data is handled. This is key for organisations. I feel like the lack of understanding here is preventing widespread adoption, especially for communication tools that handle sensitive data.
For example, you could run Deepseek R1 using ollama on an Azure virtual machine (nc series) that you pay per hour for, and then your cost isn’t based on usage of your ai. Right now it’s expensive to provision the infra to support decent models, but these costs fall continuously.
I can imagine a world where organisations provision cloud infrastructure in their environments running open source models.
https://learn.microsoft.com/en-us/azure/virtual-machines/sizes/gpu-accelerated/nc-series?tabs=sizebasic
https://huggingface.co/deepseek-ai/DeepSeek-R1
Is there any other consumer software that works on this model? I can’t think of any
Some enterprise software has stuff like this